Notice regarding the disposal of 16,000 treasury shares (ordinary shares with the ticker symbol KDHR)

Pursuant to the provisions of the Rules of the Ljubljana Stock Exchange d.d. and the Securities Market Act (ZTVP-1) (Official Gazette of the Republic of Slovenia, No. 56/99), KD Group, d.d., Ljubljana, hereby issues the following announcement:

Pursuant to Article 66 of the Securities Market Act (Official Gazette of the Republic of Slovenia, No. 56/99, as amended) and Article 39 of the Stock Exchange Rules (Official Gazette of the Republic of Slovenia, No. 113/02, as amended), the issuer, KD Holding, d.d., Ljubljana, Celovška 206, hereby announces the disposal of 16,000 of its own shares (ordinary shares with the symbol KDHR).

KD Holding, d. d., Ljubljana (KD Holding) acquired 16,000 own shares (ordinary shares with the ticker symbol KDHR) on 7 October 2004, representing 1.18 per cent of all the issuer’s shares. The shares were acquired on the basis of a loan agreement concluded with KD Group, d. d., Ljubljana (KD Group), for the purpose of carrying out the merger of KD Naložbe, d. d., Ljubljana (KD Naložbe) into KD Holding, which KD Holding announced to the public on 8 October 2004.

On 5 November 2004, KDD carried out the exchange of shares in the acquired company for shares in the acquiring company. The 16,000 shares acquired by KD Holding under a loan agreement with KD Group were returned by KDD to KD Holding, as they were not required for the exchange; therefore, in accordance with the agreement, KD Holding returned the shares to KD Group on 11 November 2004.


Ljubljana, 12 November 2004



The Management Board of KD Holding, d. d.